Central Retail Corporation Public Company Limited (SET: CRC) reported a net profit from continuing operations of THB 2,891 million in 1Q26, representing a 12.1% increase compared to the same period in 2025. While total revenue growth remained modest at THB 66,514 million, or 1.4% increase YoY, the company successfully leveraged cost efficiencies and strategic investments to drive the bottom line.
The food segment emerged as the primary growth engine, with sales rising 6.4% YoY to THB 28,759 million. This growth was fueled by the expansion of TOPS Supermarket and TOPS DAILY, strong tourist-related spending in Thailand, and robust consumption in Vietnam during the Tet holiday.
In contrast, the fashion and hardline segments saw slight declines of 2.9% and 2.5% respectively. The company attributed this to the absence of the “Easy E-Receipt” government stimulus that boosted the prior year’s base, as well as ongoing renovations at major locations like Central Rama 9. However, a bright spot remains in the digital space, as online sales surged by 20% YoY, now accounting for 9% of total company sales.
Profitability was bolstered by a significant 22.8% reduction in finance costs, which dropped to THB 783 million due to lower interest rates and reduced borrowings. Additionally, the company’s share of profit from associates grew by 15.5%, largely driven by its new 40% stake in JD Sports Thailand.
These gains helped offset a slight rise in expenses. Selling expenses increased 1.9% to THB 11,845 million, pressured by higher online commissions and utility costs from new store expansions. Administrative expenses rose 3.8%, primarily due to foreign exchange losses.
CRC is currently undergoing a strategic portfolio realignment, having recently divested its Rinascente business in Italy and completed the sale of its investment in Vietnam’s Nguyen Kim electronics chain to focus on high-growth food and property segments. With a net interest-bearing debt-to-equity ratio of just 0.8 times, the company remains well-positioned for future “New Heights, Next Growth” expansion and potential M&A opportunities.
